We experimentally investigate whether individuals strategically distort their beliefs about dominant norms. Embedded in the context of lying, we systematically vary both the nature of elicited beliefs (descriptive about what others do, or normative about what others approve of) and whether...

In multiple pre-registered experiments, we examine the effect of sequences of positive and negative experiences on altruism, trust, trustworthiness, and cooperation. For non-social experiences, we find no effect on subsequent behavior in any of these social domains. However, when experiences are...

We experimentally investigate whether individuals strategically distort their beliefs about dominant norms. Embedded in the context of lying, we systematically vary both the nature of elicited beliefs (descriptive about what others do, or normative about what others approve of) and whether...

In multiple pre-registered experiments, we examine the effect of sequences of positive and negative experiences on altruism, trust, trustworthiness, and cooperation. For non-social experiences, we find no effect on subsequent behavior in any of these social domains. However, when experiences are...

We analyze how agents’ present bias affects optimal contracting in an infinite-horizon employment setting. The principal maximizes profits by offering a menu of contracts to naive agents: a virtual contract - which agents plan to choose in the future - and a real contract which they end up...

We study optimal employment contracts for present-biased employees who can conduct on-the-job search. Presuming that firms cannot offer long-term contracts, we find that individuals who are naive about their present bias will actually be better off than sophisticated or time-consistent...

The need to give incentives is usually absent in the literature on minimum wages. However, especially in the service sector it is important how well a job is done, and employees must be incentivized to perform accordingly. Furthermore, many aspects regarding service quality cannot be verified,...

We study optimal employment contracts for present-biased employees who can conduct on-the-job search. Presuming that firms cannot offer long-term contracts, we find that individuals who are naive about their present bias will actually be better off than sophisticated or time-consistent...

This paper explores how a relational contract establishes a norm of reciprocity and how such a norm shapes the provision of informal incentives. Developing a model of a long-term employment relationship, I show that generous upfront wages that activate the norm of reciprocity are more important...

This paper analyzes a dynamic relational contract for employees with reciprocal preferences. I develop a tractable model to investigate how “direct” performance-pay (promising a bonus in exchange for effort) and generous upfront wages (which activate the norm of reciprocity) interact over...